Restaurant company Darden (NYSE:DRI) will be announcing earnings results tomorrow morning. Here's what investors should know.
Last quarter Darden reported revenues of $2.73 billion, up 11.6% year on year, in line with analyst expectations. It was a mixed quarter for the company, with a decent beat of analysts' revenue estimates. On the other hand, its EPS missed Wall Street's expectations.
Is Darden buy or sell heading into the earnings? Find out by reading the original article on StockStory.
This quarter analysts are expecting Darden's revenue to grow 10.2% year on year to $2.74 billion, in line with the 9.4% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.73 per share.
The analysts covering the company have been growing increasingly bullish about the business heading into the earnings, with revenue estimates seeing five upwards revisions over the last thirty days. The company missed Wall St's revenue estimates twice over the last two years.
Looking at Darden's peers in the sit-down dining segment, some of them have already reported earnings results, giving us a hint of what we can expect. BJ's delivered top-line growth of 2.34% year on year, missing analyst estimates by 2.22% and Texas Roadhouse (NASDAQ:TXRH) reported revenues up 12.9% year on year, missing analyst estimates by 0.06%. BJ's traded up 8.61% on the results, Texas Roadhouse was up 3.24%.
There has been positive sentiment among investors in the segment, with the stocks up on average 6.5% over the last month. Darden is up 4.9% during the same time, and is heading into the earnings with analyst price target of $168.3, compared to share price of $163.5.
The author has no position in any of the stocks mentioned.